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City of Everett 00 72 00 - 59
<br /> Water Filter Plant Portal 4 Improvements WO# 3755
<br /> 16.3 PATENTS AND ROYALTIES
<br /> ' Costs involved in fees,royalties,or claims for any patented invention,article,process or method that may
<br /> be used upon or in a manner connected with the Work under this Contract or with use of completed Work
<br /> by the Owner shall be paid by the Contractor. The Contractor and its sureties shall protect and hold the
<br /> ' Owner,Owner's Representative,and Owner's Representative,together with its officers,agents,and
<br /> employees,harmless from any and all loss,defense cost,and expenses and against any and all demands
<br /> made for such fees or claims brought or made by the holder of any invention or patent. Before final
<br /> ' payment is made on the account of this Contract,the Contractor shall, if requested by the Owner,furnish
<br /> acceptable proof of a proper release from all such fees or claims.
<br /> Should the Contractor,its agent,employee or any of them be enjoined from furnishing or using any
<br /> ' invention,article,material or plans supplied or required to be supplied or used under this Contract,
<br /> Contractor shall promptly pay such royalties and secure requisite licenses;or,subject to acceptance by
<br /> Owner,substitute other articles,materials,or appliances in lieu thereof that are of equal efficiency,
<br /> ' quality, finish, suitability and market value to those planned or required under the Contract. Descriptive
<br /> information of these substitutions shall be submitted to the Owner's Representative for determination of
<br /> general conformance to the design concept and the construction Contract. Should Owner elect to refuse
<br /> the substitution,Contractor agrees to pay such royalties and secure such valid licenses as may be requisite
<br /> for the Owner, its officers,agents and employees or any of them,to use such invention,article,material
<br /> or appliance without being disturbed or in any way interfered with by any proceeding in law or equity on
<br /> account thereof.
<br /> ' 17. AUDITS
<br /> 17.1 GENERAL
<br /> The Contractor's records relating to this Project,including,but not limited to,wage,payroll,and cost
<br /> records,shall be open to inspection or audit by representatives of the Owner during the Project and for a
<br /> period of not less than six years after the date of Final Acceptance of the Contract. The Contractor shall
<br /> retain these records for that period. The Contractor shall also guarantee that Project records of
<br /> Subcontractors, Suppliers,and lower tier Subcontractors,including,but not limited to,the wage,payroll,
<br /> ' and cost records,shall be retained and open to similar inspection or audit for the same period of time.
<br /> The audit may be performed by employees or representatives of the Owner or by an auditor chosen by the
<br /> Owner. The Contractor, Subcontractors,or lower tier Subcontractors shall provide adequate facilities,
<br /> reasonably acceptable to auditor,for the audit during normal business hours. The Contractor,
<br /> Subcontractors,or lower tier Subcontractors shall make a good faith effort to cooperate with the auditors.
<br /> If an audit is to be commenced more than sixty(60)days after the Final Acceptance date of the Contract,
<br /> the Contractor will be given twenty(20)days' notice of the time when the audit is to begin. If any
<br /> ' litigation,claim,or audit arising out of,in connection with,or related to this Contract is initiated,the
<br /> Project records shall be retained until the later of(a)completion of litigation,claim,or audit or(b)six
<br /> years after the date of Final Acceptance.
<br /> 17.2 CLAIMS
<br /> All Contract Claims filed against the Owner shall be subject to audit at any time following the filing of
<br /> the Contract Claim. Failure of the Contractor, Subcontractors,or lower tier Subcontractors to maintain
<br /> and retain sufficient records to allow the auditors to verify all or a portion of the Contract Claim or to
<br /> permit the auditor access to the books and records of the Contractor, Subcontractors,or lower tier
<br /> Subcontractors shall constitute a waiver of a Contract Claim and shall bar any recovery thereunder.
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<br /> 00 72 00 - 59 GENERAL CONDITIONS
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